SBC leads Dow decliners as analyst cuts price target

NEW YORK (CBS.MW) -- SBC Communications
SBC, +0.07%
fell 45 cents, or 1.9 percent, to $23.43, and was the biggest percentage decliner among Dow industrials components. Analyst Rick Black at Blaylock & Partners reiterated his "hold" rating on the stock, but cut his price target to $21 from $24 as the company's core service lines business continues to suffer from economic weakness, minimal enterprise spending and an uncertain regulatory environment. He also trimmed his fourth-quarter, 2003 and 2004 earnings estimates to 34 cents, $1.55 and $1.47 a share, respectively, from 43 cents, $1.64 and $1.72. "Despite strength in long-distance, DSL and Cingular subscriber growth, SBC's core wireline business continues to see pressure and margin compression," Black wrote in a note to clients.

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